Non-Profit News Service No. 0341 - Changes to GST legislation

On 29 June 2011, the Tax Laws Amendment (2010 Measures No. 5) Act 2011 was enacted. This Act included a measure which specified non-profit sub-entities can access the same goods and services tax (GST) concessions as their parent entities. This measure applies from 1 July 2011.

What does this mean?

If you operate a non-profit organisation, you may choose to split some or all of your separately identifiable activities into independent units. These independent units are treated as separate entities for GST purposes and are referred to as non-profit sub-entities.

If you are an endorsed charitable institution or an endorsed trustee of a charitable fund, you are entitled to certain GST concessions. However, as a non-profit sub-entity is only a separate entity for GST purposes, it is not entitled to be separately endorsed.

This measure specifies that a non-profit sub-entity can access the same GST concessions as their endorsed parent entity.

Before this Act was enacted, our policy was to allow non-profit sub-entities to access the same GST concessions as their parent entity.

Further Information

For more information about non-profit sub-entities, refer to:

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    Last modified: 07 Sep 2011QC 24890